Stamp duty & land taxes

Stamp Duty

When you buy shares, you usually pay a tax or duty of 0.5% on the transaction. If you buy shares electronically Stamp Duty Reserve Tax (SDRT) is payable. For shares purchased using a stock transfer form, you will pay Stamp Duty if the transaction is over £1,000.

Stamp Duty Land Tax

SDLT is payable on land and property transactions in England and Northern Ireland.

Property transactions in Scotland are subject to Land and Buildings Transaction Tax (LBTT).

Property transactions in Wales are subject to Land Transaction Tax (LTT).

Residential property

The rates apply to the portion of the total value which falls within each band.

Consideration (£)

Rate (%)

0 - 125,000

0

125,001 - 250,000

2

250,001 - 925,000

5

925,001 - 1,500,000

10

1,500,001 and above

12

These rates may be increased by 3% where further residential properties, costing over £40,000, are acquired.

First-time Buyer Relief

First-time buyers may be eligible for first time buyer relief on purchases of residential property up to £500,000. The rates apply to the portion of the total value which falls within each band.

Consideration (£)

Rate (%)

0 - 300,000

0

300,001 - 500,000

5

Over 500,000

Normal rates apply

Non-residential property

The rates apply to the portion of the total value which falls within each band.

Consideration (£)

Rate (%)

0 - 150,000

0

150,001 - 250,000

2

Over 250,000

5

Land and Buildings Transaction Tax

Land and Buildings Transaction Tax (LBTT) is payable on land and property transactions in Scotland.

Residential property

Consideration (£)

Rate (%)

0 - 145,000

0

145,001 - 250,000

2

250,001 - 325,000

5

325,001 - 750,000

10

750,001 and above

12

The rates apply to the portion of the total value which falls within each band.

Rates may be increased by 4% (3% prior to 25 January 2019) where further residential properties, costing over £40,000, are acquired.